Munger, Tolles & Olson Advises on Sale of Credit Karma to Intuit for $8.1 Billion
Munger, Tolles & Olson advised Kenneth Lin, CEO and co-founder of Credit Karma, in connection with the sale of the company to Intuit for a total $8.1 billion in cash and Intuit stock. The acquisition was Intuit’s largest to date and closed on December 3, 2020.
Credit Karma, a multinational personal finance company, boasts approximately 110 million members. Its members not only use the service to monitor their personal credit scores, but also rely upon Credit Karma for everything related to their financial goals, identity theft monitoring, applying for credit cards, shopping for different types of loans and also checking account services through its partner MVB Bank, Inc.
Intuit, an American business and financial software company that develops and sells financial, accounting, and tax preparation software, has an estimated 57 million subscribers. Combining Credit Karma’s existing customer base with Intuit’s subscribers will mean added benefits for both parties’ subscriber base. The combined platform with help consumers maximize tax refunds, as well as access to other related consumer banking products.
Under the terms of the deal, Kenneth Lin will stay on and run Credit Karma as a standalone unit. Credit Karma’s revenues top $1 billion annually.